Self-Funding Project Cuts Energy Costs

The City of Rome, with a population of nearly 35,000, is located in upstate New York, 90 miles south of the U.S.-Canadian border. Like many small American cities, it is struggling to maintain services and make critical infrastructure improvements in the wake of state and local budget cuts, as well as a shrinking tax base. And, as part of its economic development plan, the city is actively marketing itself to attract new businesses and keep its economy strong.

In recent years, the site of the former Griffiss Air Force Base was successfully redeveloped to attract commercial and light industrial tenants. As part of its ongoing efforts to attract new businesses to the area, the City of Rome realized it needed to expand the capacity of the wastewater treatment plant.

The City of Rome decided to use New York State’s Energy Performance Contracting Legislation to modernize city-owned facilities and lower energy consumption and cost. The innovative legislation allowed the city to finance the project through a tax-exempt municipal lease over a 15-year term and the savings, guaranteed by the contractor, pays for the project over time.

The centerpiece of the project is the City of Rome’s wastewater treatment plant. Through an energy performance contract with Johnson Controls, an NLC Capstone Corporate Partner, Rome was able to replace outdated mixing equipment and install a fine bubble aeration system to replace mechanical aerators, some of which were 30 years old. The state-of-the-art fine bubble aeration system includes energy efficient variable-vane blowers, dissolved oxygen controls and efficient membrane diffusers. The dissolved oxygen controls automate the output of the blowers, thereby minimizing energy consumption.

Construction was completed in October 2009 and the project is already attracting attention. The American Public Works Association has named the project “2009 Environmental Project of the Year” in Central New York. Earlier this month, city representatives accepted the “2009 Municipal Achievement Award” from the New York Water Environment Association. 

“It is crucial that we use energy at all of our facilities as efficiently as possible,” said Mayor James Brown, “both for economical and for ecological reasons. Through our partnership with Johnson Controls, we’ve been able to lower our costs and reduce our energy consumption while at the same time strengthening our ability to support the needs of current and future customers.” 

The overall project included energy efficient upgrades to most city-owned buildings and includes the latest technology in lighting, new boilers, automated energy management systems, variable speed drives for motors and building envelope improvements. The energy conservation plan is part of a performance contract with Johnson Controls, which enables the city to significantly reduce its utility costs and carbon footprint. As with the wastewater treatment plant, the cost savings generated will repay the project capital investment over the term of the contract without increasing the city’s operating budget.

The expected savings from the Johnson Controls performance contract total $8.6 million over the 15-year contract term. The expanded capacity at the wastewater plant also allows the city to generate additional revenue by treating waste streams from neighboring communities. Moreover, the resulting operational benefits will make it easier for the plant to meet environmental discharge permit requirements.

“Utilizing Energy Performance Contracting the City of Rome will save hundreds of thousands of dollars each year in energy costs while addressing critical infrastructure needs,” said Frank Tallarino, commissioner of public works. “The city committed to reducing our carbon footprint by utilizing the latest technologies in energy conservation measures and these projects will reduce our green house gas emissions significantly.”